Good morning! Editor Nicole MacAdam (@nicole_mac1) here, and I apologize for the newsletter arriving with nothing in it yesterday — we had some technical issues. Here’s your headlines, including why Amazon locating its HQ2 in Toronto isn’t so far-fetched.

TransCanada hasn’t finalized KXL decision

to make the pipeline commercially viable, which critics say falls short of a full-throated backing by Alberta’s oil industry, reports Geoffrey Morgan.

Bottom line: TransCanada asked shippers to commit their production to the project under long-term agreements and succeeded in contracting roughly 60 per cent of Keystone XL’s total capacity. By contrast, oil companies had taken up 80 per cent of Kinder Morgan Canada’s expanded Trans Mountain pipeline system.

BMO backs Canopy financing

BMO became the first major Canadian bank to become involved in leading an equity financing for a publicly traded medical marijuana company, when Canopy announced a $175-million share sale, reports Geoff Zochodne.

Bottom line: While the financing heralds more competition for institutions already doing cannabis-related business, but it could also lend more legitimacy to the industry, some players say.

Meanwhile: CanniMed announced it was postponing a key shareholder meeting in order to discuss a potential transaction with Aurora, reports Mark Rendell. The two companies have been warring since November, when Aurora launched a hostile takeover bid for CanniMed backed by several significant shareholders.

Ottawa looking at life after NAFTA

Federal Finance Minister Bill Morneau suggested his department is running internal scenarios that include what would happen if NAFTA talks were to falter, reports Barbara Shecter. But he said Ottawa remains heavily focused on “Plan A,” which is strengthening the tri-country agreement between Canada, the United States, and Mexico.

Bottom line: Morneau said model scenarios are “a confidential part” of Ottawa’s NAFTA analysis and declined to discuss the potential impact on the economy or any specific sector if the trade agreement were to fall apart. U.S. President Donald Trump yesterday tweeted that the trade agreement is “a bad joke.”

NAFTA is also on CP Rail’s radar

Keith Creel, chief executive of Canadian Pacific Railways said he is keeping a close eye on contentious NAFTA discussions that could affect the company’s cross-border business, reports Alicja Siekierska. Creel said that despite the fact that the U.S. represents about 30 per cent of the company’s business, the figure “overstates” the company’s exposure in the event that NAFTA is no longer intact.

Quote: “The reality is the U.S. relies heavily on these raw materials that we’re shipping south to support the overall economy… I’m starting to see signs that Mr. Trump is probably feeling the same thing we feel, that it makes a whole lot of sense to have healthy trade and commerce between these two countries.” — Keith Creek, CEO of CP Railways

Bottom line: Trump has spoken negatively about the visa programs that tech companies such as Amazon rely on to bring highly skilled workers in from other countries, Doug Stephens, founder of retail advisory firm Retail Prophet said. Canada, on the other hand, has a reputation for being open towards immigration from India, Asia and South Asia.

The odds: Online gambling site Paddy Power has the odds of Toronto winning HQ2 at 16-to-1. It pegs Atlanta, Boston and Austin as the best bets with 3-to-1 odds.